CHAPTER – I
INTRODUCTION TO HRM
1
1. MEANING AND DEFINITION
Human Resource Management (HRM) is a management function that helps
managers recruit, select, train and develop organization members. Some well-known
definitions of HRM are:-
1. "Human Resource Management is the planning, organizing, directing and controlling of
the procurement, development, compensation, integration, maintenance and separation
of human resources to the end that individual organizational and social objectives are
accomplished."
- Edwin B. Flippo
2. "Personnel administration is a code of the ways of organizing and treating individuals at
work so that they will each get the greatest possible realization of their intrinsic
abilities, thus attaining maximum efficiency for themselves and their group, and thereby
giving to the enterprise of which they are a part its determining competitive advantage
and its optimum results."
- Prof. Thomas G. Spates
3. "The field of management which has to do with planning, organizing, directing and
controlling various operative functions of procuring, developing, maintaining and
utilizing a labour force, such that (a) the objectives for which the company is
established are attained economically and effectively, (b) objectives of all levels of
personnel are served to the highest possible degree, and (c) objectives of the community
are duly considered and served."
- Prof. Jucius
4. "Personnel Management may be defined as a set of programmes, functions and activities
designed to maximize both personal and organizational goals."
- M.R.Carrel & F.E.Kumits
5. "The Personal Management is the process of attracting, holding and motivating people
involving all managers -line and staff."
- Dunn and Stephens
2
6. "It is a function of guiding human resources into a dynamic organization that attains its
objective with a high degree of morale and to the satisfaction of those concerned, it is
concerned with getting results through people."
- Lawrence Appley
7. "Personal Management is the recruitment, selection, development, utilization of and
accommodation to human resources by organizations. The human resources of an
organization consist of all individuals regardless of their role, who are engaged in any of
the organizations activities."
- French
3
2. SCOPE OF HRM
The scope of HRM is indeed vast. All the major activities in the working life of a
worker - from the time of his or her inception in the organization until he or she leaves -
come under the purview of human resource management. Specifically, the activities
included are:
(i) Introduction to Human Resource Management
(ii) Employee hiring
(iii) Employee and executive remuneration
(iv) Employee motivation
(v) Employee maintenance
(vi) Industrial relations
(vii) Prospects of human resource management
Fig. 2.1. Scope of Human Resource Management
4
3. OBJECTIVES OF HRM
The primary objective of HRM is to ensure the availability of competent and
willing work force to an organization. Beyond this, there are other objectives are fourfold:
Fig. 3.1. Objectives of HRM
3.1. Societal Objectives: To be ethically and socially responsible for the needs and
challenges of society while minimizing the negative impact of such demand upon the
organizations to use their resources for society's benefit in ethical ways may lead to
restrictions. For example, the society may limit human resource decisions through
laws that enforce reservation in hiring and laws that address discrimination, safety or
other such areas of societal concern.
3.2. Organizational Objectives: To recognize the role of human resource management in
bringing about organizational effectiveness. Human resource management is not an
end in itself, it is only a means to assist the organization with its primary objectives.
Simply stated the department exists to serve the rest of the organization.
5
3.3. Functional Objectives: To maintain the departments' contribution at a level
appropriate to the organizations needs. Resources are wasted when human resource
management is either more or less sophisticated to suit the organizations demands.
The departments' level of service must be tailored to fit the organization it serves.
3.4. Personal Objectives: To assist employees in achieving their personal goals, at least in
so far as these goals enhance the individuals' contribution to the organization. Personal
objectives of employees must be met if workers are to be maintained, retained and
motivated, otherwise employees' performance and satisfaction may decline and
employees may leave the organization.
HRM Objectives Supporting Functions
1. Social objectives 1. Legal compliance2. Benefits3. Union-Management Relations
2. Organizational objectives 1. Human Resource Planning2. Employee Relations3. Selection4. Training and development5. Appraisal6. Placement7. Assessment
3. Functional objectives 1. Appraisal2. Placement3. Assessment
4.Personal Objectives 1. Training and development2. Appraisal3. Placement4. Compensation5. Assessment
Table 3.1. HRM Objectives and Functions
6
CHAPTER – II
QUALITY OF WORK LIFE
7
4. QUALITY OF WORK LIFE
The term "QUALITY OF WORK LIFE" has different connotations to different
persons. For example to a worker in an assembly line, it may just mean a fair day's pay,
safe working conditions and a supervisor who treats him with dignity. To a young new
entrant it may mean opportunities for advancement, creative tasks and a successful career.
To academics it means the degree to which members of work organization are able to
satisfy important personnel needs through their experiences in the organization.
Quality of working life has assumed increasing interest and importance in both
industrialized as well as developing countries of the world. In India, its scope seems to be
broader than many labour legislations enacted to protect the workers. It is more than a
sheer work organization movement, which focuses on job security and economic growth to
the employees.
4.1. Definitions
1. "The degree to which members of a work organization are able to satisfy important
personal needs through the experience in the org."
- J. Richard & J. Loy
2. "A process of work organizations which enables its members at all levels to actively
participate in shaping the org s environment, methods and outcomes."
-The American Society of Training and Development
3. "Quality of work life refers to the level of satisfaction, motivation, involvement and
commitment individuals experience with respect to their lives at work."
-Bernardin Russell
4.2. Factors
There are many factors that can contribute to "QUALITY OF WORK LIFE".
Some of these factors are given by Richard E. Walton. He explains "QUALITY OF
WORK LIFE" in terms of eight broad conditions of employment that constitute desirable
"QUALITY OF WORK LIFE".
8
4.2.1. Adequate and Fair Compensation
This refers to a just and fair balance between effort and reward. It includes such
things as a fair job evaluation, training to perform the job reasonably, ability of the org to
pay, the demand and supply of talent and skills and profit sharing. In summary, it should
respond to whether the compensation helps in maintaining a socially desirable standard and
whether compensation" bears an appropriate relation ship to the pay received for other
work.
It may be useful to point out that in India such labour legislations as Payment of
Wages Act, 1936 and Minimum wages Act, 1948 ensure adequate and fair compensation
to the employees. The committee on fair wages defined fair wage as "The wage which is
above the minimum wage but below the living wage".
4.2.2. Safe and Healthy Environment
In order to improve QWL the work environment should be free from hazards or
other factors detrimental to health and safety of the employees. Walton refers to reasonable
hours of work, zero risk, and physical conditions of work and age restrictions on both
lower and upper side. Concern for safety in the work place in India is enshrined in the
Factories Act, 1948 which lays down minimum standards of protection from machine and
other hazards (noise, pollution, fume, gases etc.,) at the place of work.
4.2.3. Opportunity to Use and Develop Human Capacities
The work today has become repetitive and fragmented. The average worker often
response mechanically to the demands of machine without much control on them.
Contrary to the traditional assumptions, QWL is improved "to the extent that the
worker can exercise more control over his or her work, and the degree to which the job
embraces an entire meaningful task" but not a part of it. Further QWL provides for
opportunities like autonomy in work and participation in planning in order to use human
capabilities.
4.2.4. Opportunity for Career Growth
Opportunities for promotions are limited in case of all categories of employees
either due to educational barriers pr due to limited openings at the higher level. QWL
9
provides future opportunity for continued growth and security by expanding ones
capabilities, knowledge and qualifications.
Here the focus is on career opportunities as against the job. How much and what
kind of opportunities are available to develop new and expand existing abilities to avoid
obsolescence.
4.2.5. Social Integration in the Work Force
One of the objectives of QWL is to generate satisfying identity with the
organization and develop a feeling of self-esteem. Social integration in the work force can
be established by creating freedom from prejudice, supporting primary work groups, a
sense of community and interpersonal openness, legalitarianism and upward mobility.
4.2.6. Constitutionalism in the Work Org
Enhanced QWL should also ensure zero violation of the constitutional guarantee
by executing organizational decision. QWL provides constitutional protection to the
employees only to the level of desirability as it hampers workers. It happens because the
management's action is challenged in every action bureaucratic procedures need to be
followed at that level. Constitutional protection is provided to employees on such matters
as privacy, free speech, equity and due process.
4.2.7. Work and Quality of Life
QWL provides for the balanced relationship among work, non-work and family
aspects of life. In other words family life and social life should not be strained by working
hours including overtime work, work during inconvenient hours, business travel, transfers,
vacations etc.
4.2.8. Social Relevance of Work
The organization which has lack of concerns for social causes like waste disposal,
low quality product, overaggressive marketing, employment practices make workers
depreciate the value of their work and career which in turn effect their self-esteem.
QWL is concerned about the establishment of social relevance to work in a
socially beneficial manner. The workers self-esteem would be high if his work is useful to
the society.
10
4.3. Specific Issues in QWL
Trade unions claim that they are responsible for the improvement in various
facilities to workers where as management takes credit for improved salaries, benefits and
facilities. However, P/HR manager has specific issues in QWL besides normal wages,
salaries, fringe benefits etc., and takes lead in providing them so as to maintain higher
order QWL.
4.3.1. Pay and Stability of Employment
Good pay still dominates most of the other factors in employee satisfaction.
Various alternative means for providing wages should be developed in view of increase in
cost of living index, increase in levels and rates of income tax and profession tax.
Enhancing the facilities for human resource development can provide stability to a greater
extent.
4.3.2. Occupational Stress
Stress is a condition of strain on one's emotions, thought process and physical
condition, stress is determined by the nature of work, working conditions, working hours,
pause in the work schedule, workers abilities and nature and match with the job
requirements. Stress is caused due to irritability, hyper-excitation or depression, unstable
behavior, fatigue, stuttering, trembling pains, heavy smoking and drug abuse. Stress
adversely affects employee's productivity. The P/HR manager, in order to minimize the
stress has to identify prevent and tackle the problem. He may arrange the treatment of the
problem with the health unit of the company.
4.3.3. Organizational Health Programmes
Organizational health programmes aim at educating employees about health
problems, means of maintaining and improving of health etc., these programmes cover
drinking and smoking cessation hyper tension control, other forms of cardiovascular risk
reduction, family planning etc. Effective implementation of these programmes result in
reduction in absenteeism, hospitalization, disability, excessive job turnover and premature
death. This programme should also cover relaxation, physical exercise, diet control etc,
4.3.4. Alternative Work Schedules
Alternative work schedules including work at home, flexible working hours,
11
staggered hours, reduced work per week, part-time employment which may be introduced
for the convenience and comfort of the workers as the work schedule which offers the
individual the leisure time, flexible hours of work is preferred.
4.3.5. Participation Management and Control of Work
Trade unions and workers believe that workers participation in management and
decision - making improves QWL. Workers also feel that they control over their work, use
their skills and make a real contribution to the job if they are allowed to participate in
creative and decision- making process.
4.3.6. Recognition
Recognizing the employee as a human being more than as a laborer increases the
QWL. Participative management, awarding the rewarding systems, congratulating the
employees for their achievement, job enrichment, offering prestigious designations to the
jobs, providing well furnished and Decent work places, offering membership in clubs or
association, providing vehicles, offering vacation trips are some means to recognize the
employees.
4.3.7. Congenial Worker Supervisor Relations
Harmonious supervisor worker relations give the worker a sense of social
association, belongingness, achievement of work result etc, this in turn leads to better
QWL.
4.3.8. Grievance Procedure
Workers have a sense of fair treatment when the company gives them the
opportunity to ventilate their grievances and represent their case succinctly rather than
settling the problems arbitrarily.
4.3.9. Adequacy of Resources
Resources should match with stated objectives; otherwise, employees will not be
able to attain the objectives. This results in employee dissatisfaction and lower QWL.
4.3.10. Seniority and Merit in Promotions
Seniority is generally taken as the basis for promotion in case of operating
employees. Merit is considered as the basis for advancement for managerial people where
12
as seniority cum-merit is preferred for promotion of ministerial employees. The
promotional policies and activities should be fair and just in order to ensure higher QWL.
4.3.11. Employment on Permanent Basis
Employment of workers on casual, temporary, probationary basis gives them a
sense of insecurity. On the other hand, employment on permanent basis gives them
security and leads to higher order QWL.
4.4. Quality of Work Life and Human Resource Management
Quality of Work Life is broader than motivation though these two terms seems to
be similar. All personal related activities affect QWL. Some examples are
HR Activity Effect on QWL
1. Job Analysis Analyze the job in such a way that human
needs like redeem, challenging work,
autonomy can be satisfied.
2. Selection Selecting the right and placing thing in the right position. This satisfies his needs for rewards, interesting work etc.
3. Job Enrichment Satisfy higher order needs like pride ego.
4. Job Evaluation Equitable wages.
Table 4.1. HR Activities and their Effects on QWL
4.5. Barriers to QWL
QWL suffers from barriers like any other new scheme. Management, employees
and unions fear the effect of unknown change. All these parties feel that the benefits of this
concept are few though they are convinced about its effect on personal management as a
whole and on the individual parties separately management should develop strategies to
improve QWL in view of the barriers.
13
4.6. Strategies for Improvement of QWL
The strategies for improvement in QWL include self managed work teams, job
redesign, enrichment, effective leadership and supervisory behavior, career development,
alternative work schedules, job security, administrative or organizational and participative
management.
4.6.1. Self-managed Work Team: These are also called autonomous work groups or
integrated work teams. These work teams are formed with 10 to 20 employees who plan,
coordinate and control the activities of the team with the help of a team leader who is one
among them. Each team performs all activities including selecting their people. Each team
has authority to make decisions and regulate the activities. The group as a whole is
accountable for the success or failure. Salaries are fixed both on the basis on individual and
group achievement.
4.6.2. Job Redesign and Enrichment: Narrow jobs can be combined into large units of
accomplishment. Jobs are redesigned with a view to enriching them to satisfy higher order
human needs.
4.6.3. Career Development: Provision for career planning, communicating and
counseling the employees about the career opportunities career path, education and
development and for second career should be made.
4.6.4. Alternative Work Schedules: Provision for flexible working hours, part-time
employment, job sharing and reduced work week should be made.
4.6.5. Job Security: This tops the employees list of priorities. It should be adequately
taken care of.
4.6.6. Administrative or Organizational Justice: The principles of justice, fair and
equity should be taken care of in disciplinary procedure, grievance procedures, promotions,
transfer, demotion, work assignment, leaves etc.
4.6.7. Participative Management: Employees should be allowed to participate in
management, participative schemes which may be of several types. The most sophisticated
among them is quality circle.
14
Implementation of these strategies ensures higher level of Quality of Work Life.
4.7. QWL and Productivity
The general perception is that improvements in QWL costs much to the
organization, but it is not so, as improvement over the existing salary, working conditions
and benefits will not cost much. However, the rate of increase in productivity is higher
than the cost of QWL. Thus increase in QWL results in increase in productivity, but
continual increase in QWL eventually leads to reduction in productivity due to increase in
cost of output. This is because the workers output does not increase proportionately after a
certain level even though QWL increases.
Improved QWL leads to improved performance. Performance should mean not
only physical out put but also the behavior of the workers in helping colleagues in solving
job related problems, accepting orders with enthusiasm, promoting a positive team spirit
and accepting temporary unfavorable work conditions without complaint.
15
CHAPTER - III
BACKGROUND OF THE STUDY
16
5.BACKGROUND OF THE PROBLEM
Organizations, in the past, gave more importance on advanced technology for
higher productivity surpassing the needs and mental state of its employees. This created a
negative impact on the working environment among the employees. Thus it was realized
that 'societal support goes hand in hand with technical innovations. This integration can
only be made through quality of work life programmes. Quality of work life denotes all the
organizational inputs that aim at the employee's satisfaction and enhancing organizational
effectiveness. In the late 1950s the term QWL was used to stress the prevailing poor
quality of Life at work place and it was first defined then in terms of people's reaction to
work, particularly an individual's job satisfaction and mental health. It also refers to
favorableness or unfavorableness of the job environment for people.
Multifarious criteria that characterize this industrial orientation include fair
compensation, healthy working conditions, and opportunities for developing skills.
Continued growth and security, conducive work environment, protection of worker’s
rights, social relevance and balance between work and personal life. Later, quality came to
be recognized as an approach or method used for improving work. It was viewed to be
synonymous with methods used for improving work. It was viewed to be synonymous with
methods such as job enrichment, self managed teams and managed committees.
The management in every organization should sincerely invite their employees to
suggest ways to improve their operation and the quality of their work life, only if these
ideas are received in a spirit of appreciation. The employees should then be asked to
participate in studying the feasibility and recommend appropriate means of implementing
each suggestion that survives such review. The quality of life at work probably would then
be enhanced. A management practice that manifests concern about job enrichment,
employee security, career opportunities and the opportunities for employees to have voice
in matters which affect them is entirely consistent with meticulously controlled operations
in the interest of efficiency, effectiveness, quality assurance, customer service, profitability
and high employee morale.
As a part of fulfilling the above mentioned responsibility with regard to improving
the quality of work life of employees Ganpati Sugar Industries Ltd., which was established
17
in 1996 assigned me this task as part of my M.B.A. project work. By measuring three
motivational dimensions – employee participation, employee involvement, and
employee satisfaction, the Company would like to take preventive measures if any loop
holes are find out with the help of my study. So, that they will be able to take
personalized approach to help employees locate the resources and support needed to
better manage their work and life responsibilities.
18
CHAPTER – IV
NEED FOR THE STUDY
19
6. NEED FOR THE STUDY
Mankind needs to be related with one self, with others, with the society, and with
the world. This relatedness provides us the basic stimuli and motivations to live, perform
and achieve at home and at work.
Having concern with the life on the job is not new. It's a fact that quality of work
life and quality of life are interdependent. The degree to which employees are able to
satisfy their personal needs with the experience they gained in professional life acts as a
motivational factor for employees. The increased ferment of union activities in the 30s and
40s, through collective bargaining and legislations, led to improved working conditions.
Even before that, labour was vigorously protesting management attempts to change the
work environment. A study by Professor Robert F .Hoxie, Chicago University in 1915,
reported how the unions, particularly the machinists, were fighting scientific management
techniques. The so-called scientific management, and labour complaint, condemned the
workers to a monotonous routine, destroyed their creativity, and drove them to the brink of
exhaustion.
There are generally two types of workers-some accept the life as they find it, i.e.
a job, which provides a living, is enough. But for some others, 'taking home a pay is
not all'-they want a chance for self-fulfillment in workplace. Thus most of the employees
in the organizations want this activity to be conducted, though a few reject the idea and do
show alienation.
These workers generally do not want increased responsibilities, nor want to learn
new skills. They only need a specially tailored approach to cope with their feelings. This
minority should be permitted to continue in their respective skills and familiar tasks so
long as they perform satisfactorily.
Today's aspirations for an improved work life, however, go well beyond
continuing efforts to improve benefits and working conditions. Minority groups have
fought for equal opportunities. Youth has gained greater degree of freedom from parents
and other adult authorities. Citizen groups and environmentalists have called for more
corporate responsibility, at the expense of profits, if necessary. Many companies are
20
responding with thoughtful plans and tangible actions.
Conclusion
There is a positive correlation between quality of work life and quality of life.
Some factors such as intrinsic motivation, control job involvement job attractiveness are
factors that potentially influence both QWL and quality of life.
Quality of Work Life has a distinct bearing on Quality of Life. Private sector
companies, if they want to elevate the level of performance, should take enough initiatives
to improve QWL. Accurate and consistent scales should be developed to measure the
above factors and regular monitoring needs to be done. The present study is meant to
detect the various activities Ganpati Sugar Industries Limited currently adopting in
order to improve the QWL of employees, so that corrective measures can be taken if any
bottlenecks are found in the study.
21
CHAPTER – V
OBJECTIVES OF THE STUDY
22
7. OBJECTIVES OF THE STUDY
Mankind to be related, with one self, with others, with the society, and with the
world. This relatedness provides us the basic stimuli and motivations to live, perform and
achieve at home and at work.
Quality of work life and quality of life are correlated. Some factors such as
intrinsic motivation, control, job involvement and job attractiveness are factors that
potentially influence both QWL and quality of life.
The primary objective of the present study is to study the three basic motivational
factors (which together build a qualitative work life for the employees)
Employee job satisfaction
Employee job involvement
Employee Participation, with regard to the employees of Ganpati Sugar Industry
Limited with the following specific objectives.
7.1. Specific Objectives
With the help of different questionnaires (Closed end) for both blue-collar and
white-collar workers of GSIL, the present study tried to achieve the following specific
objectives.
The availability and satisfaction level of employees with regard to the following
issues of the company, so that the primary objective of the study can be achieved.
Adequate and fair compensation
Safe and healthy working conditions
Opportunity to use and develop human capacities
Opportunity for continued growth and security
Social integration in work environment
Constitutionalism or the 'rule of law' in the work organization
Work span in the total life space
The social relevance of work life
23
7.2. Type of Study
Based on the type of information required, research is divided into three
categories. They are
Exploratory study
Descriptive study
Causal study
Our study is Descriptive type of study because the information required for in this
study- has a particular specified objective.
7.3. Data Needs
1. Information on the workers and on all Departments as Finance, Engineering,
Manufacturing, Cane, Personnel, Commercial and Stores.
2. Information from the Human Resources about the employees.
7.4. Source of data
There are two types of sources of data required for this study. They are Primary
source of data and Secondary source of data.
7.4.1. Primary Data: Primary data are the data that are collected to help, solve a problem
or take advantage of an opportunity on which a decision is pending. Here in this study the
primary data is collected by means of questionnaires administered to workers and
employees of GSIL.
7.4.2. Secondary Data: Secondary data are the data that were developed for some
purpose other than helping to solve the problem at hand. For this study the secondary data
was obtained from various documents like business plan etc., provided by the management
of GSIL.
24
7.5. Sample Plan
7.5.1. Population Specification: The populations for this survey are divided into two
broad groups. They are shop-floor workers from different departments and administrative
staff.
Total No. of Shop-floor workers - 434
Total Administrative staff - 86
7.5.2. Sample Profile: Random sample taken for our study was with a general sample
profile of workers as being highly experienced and working for a long time in the
company. All the employees in this study were middle aged and well experienced.
7.5.3. Method of Sampling: The method of sampling chosen for this study is non-
probability sampling. Several kinds of non-probability samples in common use are
(i) Convenience sampling
(ii) Judgment sampling
(iii) Quota sampling
(iv) Purposive sampling
In this study we have taken Convenience sampling as our method of sampling. The
sample was arbitrarily chosen to be 100 in number out of the total population of 510.
7.5.4. Size of the Sample: The sample size for this study is 100. This sample contains 80
workers and 20 people from administrative staff. This is according to the ratio of workers
and administrative staff in GSIL.
7.6. Method of Analysis
Method of analysis for this study is simple statistical analysis.
25
7.7. Limitations of the study
The study was restricted to only about 100 employees.
Only two shifts of workers were considered due to lack of time.
Respondents being influenced by responses of other respondents.
Limited ability to comprehend questions by workers.
There may have been little apprehension in giving information due to fear of higher
authorities.
26
CHAPTER - VI
SUGAR INDUSTRY – A CURTAIN
RAISER
27
8. SUGAR INDUSTRY
8.1. Background
Sugar industry is the largest agro-based industry located in the rural India. About
45 million sugarcane farmers, their dependents and a large number of agricultural laborers
are involved in sugarcane cultivation, harvesting and ancillary activities, constituting 7.5%
of the rural population. Besides, about 0.5 million skilled and semi-skilled workers, mostly
from the rural areas, are engaged in the sugar industry. The sugar industry in India has
been a focal point for socio-economic development in the rural areas by mobilizing rural
resources, generating employment & higher income, transport and communication
facilities. Further, many sugar factories have established schools, colleges, medical centers
and hospitals for the benefit of the rural population. Some of the sugar factories have also
diversified into byproduct based industries and have invested and put up distilleries,
organic chemical plants, paper and board factories and cogeneration plants. The industry
generates its own replenishable biomass and uses it as fuel without depending on fossil
fuel. The sugar industry's contribution to the Indian economy is, therefore, enormous.
There are 426 installed sugar mills in the country with a production capacity of
200 lakh MTs of sugar. These mills are located in 18 states of the country. About 60% of
these mills are in the cooperative sector, 35% in the private sector and rest in the public
sector.
The minimum price of raw material, namely sugarcane, is statutorily fixed by the
Central Government on the basis of the recommendation made by Commission for
Agricultural Costs & Prices (CACP). Sale of sugar produced by the mills is regulated by
the Central Government through monthly fixation of quota. 90% of the sugar produced is
allowed to be sold by mills as free sale quota (free in regard to price and movement) and
10% is allowed to be sold as levy to State Governments or their nominees at predetermined
prices. The sale of sugar produced in 4-5 months of the sugar season is staggered over a
period of a year or more.
Agriculture in the country being largely rain fed, monsoon plays an important role
in the production of sugarcane, the basic raw material for the sugar industry. On the back
of successive good monsoons, sugar production in the country increased rapidly in the last
28
five years, reaching 20.1 million tons in 2002-03 from 15.5 million tons in 1998-99. The
sugar production in the last 15 years may be seen at following table
8.2. Sugar Production in India
Year Sugar Production
(Million Ton)
1988-89 8.75
1989-90 10.99
1990-91 12.04
1991-92 13 .40
1992-93 10.60
1993-94 9.83
1994-95 14.64
1995-96 16.45
1996-97 12.90
1997 -98 12.85
1998-99 15.53
1999-00 18.20
2000-01 18.51
2001-02 18.52
2002-03 20.14
2003-04 13.55
2004-05 12.78
2005-06 19.50
Table 8.1. Sugar Production in India
29
Without any major increase in consumption of sugar, large accumulation of sugar
stocks took place during 1998-99 and 2002-03, leading to low price realizations. The ex-
factory price of sugar fell from a high of Rs.1630/quintal in 2001 to a low of
Rs.1130/quintal in 2003. The ex-factory price of sugar remained even below the cost of
production for long periods of time.
As it is, the competitive edge of Indian sugar in international market is weak. This
was further weakened due to depressed price of sugar in the international market, eroding
export possibilities and earnings from export. Although efforts by the industry and
incentives from Central Government culminated in the export of about 40 lakh tons of
sugar in the last three years, yet domestic price continued to remain low.
The low cash realizations led to serious financial crunch for the sugar industry.
The value of sugar stocks was not even enough to cover the working capital advances
taken, seriously affecting cash flows and the ability of sugar mills to service debts and
interest on loans for modernization/expansion/byproduct utilization. Even routine
maintenance was affected in the case of many factories. Interest rate on loans and advances
have generally been falling in the country. However, the advantages of falling interest rates
did not flow to the sugar industry, as the perspective of financial institutions/banks with
regard to the sugar industry remained negative in the adverse sugar market scenario
mentioned above.
Huge increases in production up to 2002-03 has been followed by low sugar
production in 2003-04 (and projected low production in 2004-05) on account of drought
and pest infestation in certain major sugar producing States. Although this has resulted in
stabilization of sugar prices, the loss in production has compounded the problems of the
sugar industry. The loss in production is not only likely to reduce the ability of sugar
factories to service their debts, but may even affect running of the sugar factory because of
inadequate availability of working capital. Low capacity utilization resulting from low
availability of cane is likely to lead to higher costs of production. As many as 100 factories
are unlikely to come into production in 2004-05 because of non-availability of cane
creating difficulties in meeting fixed costs and wages of mill employees.
Thus by April 2004, the sugar industry found itself entangled in a complex web of
30
problems of high stocks, low prices, poor profitability, mounting cane price arrears,
financial crunch (or outright sickness) limited modernization/expansion/ diversification,
and weak international competitive edge.
It was in this context, that the Interim Budget 2004-05 provided that "The
Government will prepare a package for the revitalization of sugar industry, in consultation
with all the stakeholders". Accordingly, a Committee, consisting of all stakeholders was set
up on March 12, 2004 under the Chairmanship of Shri S.K. Tuteja, Secretary, Ministry of
Food, Consumer Affairs & Public Distribution, Government of India for the purpose of
identifying the problems faced by the sugar industry and suggest a package for its
revitalization to enable make it viable, self sustaining and globally competitive.
8.3. Sugar Scenario - National & International
8.3.1. National
The sugar industry is the second largest agro-based industry, next to textiles in the
country. The first sugar mill in the country was set up in 1903 in the United Provinces.
There are 553 installed sugar mills, of which 453 were in operation in the year 2002-03
and utilized 194.4 million ton of sugarcane (69% of total cane production) to produce
20.14 million tons of sugar. About 5 lakh workmen are directly employed in the sugar
industry besides many in industries, which utilize by-products of sugar industry as raw
material.
Sugar industry contributes about Rs.1650 crores to the Central Exchequer as
excise duty and other taxes annually. In addition, about Rs.600 crores is realized by the
State Governments annually through purchase tax and cess on cane. At the prevailing sugar
cane price, the total sugar cane produced in the country value at about Rs.24000 crores per
year.
The Government of India licensed new units with an initial capacity of 1250 TCD
up to the 1980s and with the revision in minimum economic size to 2500 TCD, the
Government issued licenses for setting up of 2500 TCD plants thereafter. The Government
de-licensed sugar sector w.e.f. 11.9.1998. The entrepreneurs have been allowed to set up
sugar factories or expand the existing sugar factories as per the techno-economic feasibility
of the project. However, they are required to maintain a radial distance of 15 kms from the 31
existing sugar factory. This stipulation is further legalized by the Govt. of India order
recently.
After de-licensing, a number of new sugar plants of varying capacities have been
set up and the existing plants have substantially increased their capacity. The increase in
number of units and capacities during the period 1980-2003 is shown in Table.
Year No. of Units Average capacity (t/d)
1980-81 315 1718
1981-82 320 1721
1982-83 321 1779
1983-84 326 1779
1984-85 339 1834
1985-86 342 1885
1986-87 354 1862
1987 -88 357 1888
1988-89 365 1925
1989-90 377 2036
1990-91 385 2088
1991-92 392 2167
1992-93 393 2325
1993-94 394 2388
1994-95 408 2483
1995-96 416 2531
1996-97 412 2656
1997 -98 400 2863
1998-99 427 2855
1999-00 423 3049
2000-01 436 3203
2001-02 434 3285
2002-03 453 3343
2003-04 422 3343
2004-05 400 3380
2005-06 426 3415
Table 8.2. Number of Sugar Factories in Operation in India and Average Capacity
Decennial No. of units % increase in Average % increase in
32
period ending units over the capacity per capacity overbase per year unit (ton) the base year
1980 (1980)1980 299 -- 1650 ---1990 377 26 2030 232000 423 41 3000 822003 453 52 3340 102
200420052006
No spurt – some of the inefficient old units are closed.
Table 8.3. Number of Sugar Units in Operation
The average per capita consumption of sugar is estimated at 18.3 kg/year in the
year 2002-03. Based on the existing trend, this is estimated to increase to 23-24 kg/year by
year 2010. At an annual population growth rate of 1.6% per annum, the population of India
is expected to be 116 Crores by the year 2010 and therefore the corresponding estimated
requirement of sugar will be 24.3 million tons. To achieve this, the sugar cane needs to be
cultivated on an area of about 5.5 million ha with an average yield of 65 T /ha. As the
increase in area of the sugarcane from the present 4.36 million hectare to 5.5 million
hectare, may not be possible due to other competing crops, it becomes necessary to
improve the productivity and yield of sugarcane and sugar recovery. The State wise
scenario in respect of sugarcane production, cane consumption by sugar industry, sugar
produced, season duration, number of units etc. in different key sugar producing States is
as per following table.
State No. of units Season Sugarcane Sugar
33
in operation duration Production Production(davs) (Million tons) (Million tons)
Andhra Pradesh 35 119 18.08 1.05Bihar 10 117 5.21 0.34Gujarat 15 152 12.46 1.05Haryana 15 162 9.27 0.62Karnataka 36 142 33.01 1.55
Maharashtra 135 125 45.14 5.61Punjab 22 147 9.25 0.59Tamil Nadu 36 195 32.62 1.83Uttar Pradesh 101 150 117.98 5.26Uttaranchal 10 138 7.55 0.44
Table 8.4. State-Wise Sugar Production
Phased decontrol of the sugar industry
In pursuance to the decision to decontrol sugar industry, the Central government
reduced compulsory levy obligation of the sugar industry from 40% to 30% with effect
from 1/1/2000, 15% with effect from 1/2/2001 and 10% with effect from 1/3/2002. In
November 2001, the Central Government announced that the sugar factories would be
given quarterly releases for non-levy free sale sugar from January 2002 in place of the
monthly releases. In February 2002, the Central Government decided to dispense with the
release mechanism with effect from 1st April 2003. However, in March 2003, it was
decided to continue with the release mechanism up to September 2005 and to review the
position in February 2005.
Introduction of Futures/Forward trading in sugar
The Central Government has decided to introduce futures/forward trading in
sugar, a step that is necessary before effecting complete decontrol of sugar. A notification
to this effect has been issued under the Forward Contracts (Regulation) Act, 1952 in May
2001. In November 2001, the Government has given in principle clearances to three
proposed exchanges - two in Mumbai and one in Hyderabad - that are in the process of
completing the procedural formalities to set up exchanges and to commence futures
trading.
Restructuring of Public Distribution System (PDS) for sugar
34
Consequent upon reduction of levy percentage, the PDS for sugar has been
restructured. Sugar in the PDS is supplied to the Below Poverty Line (BPL) families in all
States/Union Territories, except the North Eastern States, hilly States and island territories,
where sugar in the PDS is available to all the ration cardholders.
Liberalization of sugar trade
The Central Government has lifted restrictions on fortnightly sales by the sugar
factories. It has also removed the stockholding and turnover period limits on the dealers of
sugar.
Decanalisation of export
The Sugar Export Promotion Act, 1958 under which export of sugar was
canalized through agencies nominated by the Central Government has been repealed with
effect from 15.1.1997.
Removal of Quantitative ceiling on export of sugar
The central government has removed the quantitative ceiling on export of sugar. It
has also dispensed the registration requirement for export of sugar with the Agricultural &
Processed Food Export Development Authority (APEDA) with effect from 1.4.2001.
Promotion of export of sugar
The central Government took the following measures to promote export of sugar:
Exemptions from compulsory levy obligation on the exported quantity of sugar.
Deferment of adjustment of the exported quantity of sugar in the stocks of the sugar
factories for the purpose of domestic free sale releases. (This deferment was initially
given for six months, which was later increased to twelve months and in November
2001 to eighteen months).
Reimbursement of expenditure of internal transport and freight on export shipment of
sugar
Neutralization of disadvantage in ocean freight charges to the extent of Rs.350/- per
ton of sugar exported.
35
Reimbursement of marketing and handling charges @ Rs.500/- per ton sugar exported.
The above have been withdrawn for exports made against Release Orders issued
on or after June 21, 2004, keeping in view the lower production of sugar in 2003-04 sugar
season.
Revival of sick sugar mills
As on April 01, 2004, there were 45 sick sugar companies in the public/private
sectors. The number of cooperative sugar units with negative net worth as on 31/3/2003
was 130, as per information provided by NABARD.
Loans from the Sugar Development Fund (SDF) at concessional rates of interest
are available now for the revival of potentially viable sick sugar mills. In regard to the
cooperative sugar mills, which are not within the purview of BIFR, the Government has
constituted a Committee under the Chairmanship of Joint Secretary, Food & Public
Distribution, to recommend revival packages for potentially viable sick cooperative sugar
mills.
Promoting utilization of by-products
The Central Government has amended the Sugar Development Fund Act, 1982 to
provide for loans from the SDF at concessional rate of interest to sugar factories for
undertaking bagasse based cogeneration of power projects and for production of anhydrous
alcohol/ethanol from alcohol/molasses.
8.3.2. International
Sugar is produced in 110 countries. The leading sugarcane producing countries
are Brazil, India, Australia, Thailand, China and Cuba. Sugar is extracted from two
different raw materials, sugarcane and beet. Both produce identical refined sugar.
Sugarcane is grown in semi-tropical regions, and accounts for around two-thirds of world
production. Beet is grown in temperate climates, and accounts for the balance one third of
world production. The Russian Federation, Ukraine and Europe account for around 80 per
cent of total beet sugar production. In addition to weather conditions, diseases, insects, and
quality of soil, production of sugarcane and beet are affected by international trade
agreements and domestic price support programmes.
36
India was among the largest producers of sugar in the world in 2002-03 and ranks
as the largest growing global market for the product. India has 20% of the total sugar mills
in the world and accounts for about 15% of the global production. Now, Brazil occupy the
first position in production and export.
Now, India has maintained its position as the 2nd largest sugar producing country
in the world, having a share of over 15 percent of the world's sugar production. The
production of sugar in India, from 1996-97 to 2003-03 sugar season (October - September)
vis-a.-vis the global production of sugar has been as follows:
Sugar Consumption
India is also the largest consumer of sugar in the world. Consumption of sugar in
India increased from 16 million tones in 1996-97 to 18.5 million tones in 2005-06.
Per Capita Consumption
Apart from white sugar India also consumes alternate sweeteners jaggery and
khandsari, which are produced in large quantities, representing about 35% of the total
sweeteners production in the country. Taking into account all the three sweeteners i.e.
white sugar, jaggery, and khandsari, on a per capita basis, India's consumption stands at a
reasonably high figure. This would be evident from data of per capita consumption of
sugar in various countries.
The production is expected to increase in Brazil, China and Australia whereas, it
is expected to fell short in India in sugar season 2004-05 and 2005-06 due to severe
drought as compared to the previous season. In 2005-06 there was good rain and it is
expected to have a bumper production during 2006-07 season.
In the new season the market will be shaped by developments in two sugar giants
- Brazil the world's largest sugar producer and exporter and India the world's largest sugar
consumer.
37
CHAPTER – VII
SUGARCANE AGRICULTURE
38
9. SUGARCANE AGRICULTURE
Sugarcane is an important commercial crop in the country occupying about 4.36
million hectors with an annual sugarcane production of 281.6 million ton (2002-03).
Sugarcane occupies about 3.0% of the total cultivated area and it is one of the most
important cash crops, contributing about 7.5% of the gross value of agricultural production
in the country. About 50 million farmers depend on sugarcane cultivation for their
livelihood and equal number of agricultural laborers earn their living by working in sugar
cane farms.
Sugarcane is the primary raw material for all major sweeteners produced in the
country. It also supports two important cottage industries; viz., Gur (jaggery) and
khandsari industries, which together produce about 10 million ton of sweeteners (gur and
khandsari sugar) consuming about 28-35% of the cane produced in the country.
9.1. Availability of Cane
At present, sugarcane is being cultivated throughout the country except in certain
hilly tracts in Kashmir, Himachal Pradesh etc., The sugarcane growing areas may be
broadlyl classified into two agro-climatic regions viz.sub-tropical and tropical.
Major portions of sugarcane cultivation in India lies in the sub-tropical belt. U.P.,
Uttar Pradesh, Bihar, Punjab, Haryana are the important cane growing States in the region.
Sugar cane is also grown in a few pockets in Madhya Pradesh, West Bengal, Rajasthan and
Assam, but the productivity in these States is very low.
Sugarcane is grown extensively in the tropical belt including States of
Maharashtra, Andhra Pradesh, Tamil Nadu and Gujarat, as sugar cane, which is a tropical
crop, has favorable agro climatic conditions for its growth in these States. The yields are
substantially higher in the tropical belt as compared to the sub-tropical regions.
The availability of sufficient quantity of good quality sugarcane in the mill area is
an important pre-requisite for the factory to be economically viable. Further, the cost of
transportation and deterioration in quality increases significantly with the distance of the
39
areas from where sugarcane is procured. It is therefore necessary that suitable steps are
taken by the various stake holders (including State Governments) to ensure that sufficient
sugarcane is developed and grown in the mill area for the purpose.
Therefore scientific rationalization of cane area will have a direct impact on the
economy of the sugar industry to enable it to compete globally.
9.2. Major reasons for low productivity
Recently there has been a major reduction in area under sugarcane cultivation and
its yield mainly due to drought in almost the whole of tropical and sub-tropical regions.
The effect of drought, delayed payment of cane price and low sugar prices in the recent
past have led to fall in sugarcane production and closure of some sugar mills.
The incidence of woolly aphid as a new pest on sugarcane came to light in August
2002 in Belgaum district and moved swiftly to Bhadra canal areas and Cauvery basin in
southern Karnataka. The incidence and alarming rate of spread and severity has created
panic among the cane growers in Cauvery basin who have already suffered substantial
losses due to drought during the previous years.
9.3. Sugarcane Variety
Various experiments conducted under All India Coordinated Research Project
(AICRP) has shown that the newly developed varieties are suitable to be grown under
specific climatic conditions. Therefore only the recommended varieties are to be cultivated
suitable to the regions.
Bihar records the lowest sugar recovery % cane as compared to other major sugar
producing States of the country. Against an all India average recovery of 10.36% in 2002-
03, Bihar's recovery was only 9%, some factories have even recorded recovery as low as
7.0 - 8.23%. This is against an average recovery of 10.93%, which was achieved by the
Bihar factories in 1942-43.
40
Special attention is therefore required to be given to varietal composition in
regions recording low sugar in cane. It was suggested by the stake holders that the
Sugarcane Research Institute, Pusa which is the only Research Institute in Bihar should be
allocated adequate funds by the Central and State Government for developing suitable
varieties of sugarcane which are high yielding and have high sugar content. It was noted
that in some regions like Uttar Pradesh a number of low sugared cane varieties continue to
occupy large areas in spite of being rejected by the State Government. Therefore, there is
an urgent need for replacement of such rejected varieties through extension services.
41
CHAPTER – VIII
OVERVIEW OF GSIL
42
10. AN OVERVIEW OF GANAPATI SUGAR INDUSTRIES
LIMITED
10.1. Origin
GSIL was started in 1996 at Fasalwadi Ikulabgoor village, Sangareddy Mandal,
Medak District.
Mr. Bal Govind Lohia is Founder and Chairman of GSIL Mr. P.M.Nair is
Director of Operations and Projects, Mr. K.Harinath is Executive Director, Mr. M.Janaki
Manohar is Executive Director Mr. G.Bhaskar Reddy is General Manager (Cane) and
Mr.S.Nagaraj is General Manager (Process).
Factory is located in Fasalwadi village just 5 Kms away from Sangareddy town.
It has beautiful environment and peaceful atmosphere as it is situated adjacent to river
Manjeera.
Mr.K.Harinath (Executive Director) is the Head of the Company. He is looking
after all the functional areas of GSIL.
GSIL is working round the clock in season. It has three shifts A, B, & C.
Shift A: 6A.M to 2 P.M (lunch time - 11.30A.M to 12 noon)
Shift B: 2P.M to 10P.M (Break time - 7P.M to 7.30 P.M)
Shift C: 10 P.M to 6A.M (Tea break - 00.30A.M)
General Shift for Administrative Staff is 8.30 A.M to 5 P.M
The entire organization is divided into eight different departments viz;
Production
Personnel
Engineering
Mechanical
Lab
43
Stores
Commercial A/C Department
Cane Departments
10.2. Functional Departments of the Organization
Human Resource Department
Production / Process
Marketing Department
Finance Department
Chief Engineering Department
Chief Chemist
Cane Department
10.3. Product Profile of the Company
10.3.1. Products
Sugar
Power (co-generation)
Ethanol
10.3.2. Bi-products
Bagasse
Molasses
Press mud
Sugar: The sugar plant presently has an installed crushing capacity of 5,000 tonnes of
sugarcane per day (8,00,000 tonnes per annum) with recovery rate of 10.40%. Power (co-
generation): Existing power plant is able to generate electricity by using bagasse, a bi-
product in the process of manufacturing sugar, as under 03.000 mega watt (old power
plant) + 15.575 mega watt (new power plant) = 18.575 mega watt.
Power generated will be first captively consumed for its existing sugar plant and the
surplus is being sold to the Sate Government.
Ethanol: Ethanol is produced from Molasses which is a bi-product obtained during
44
manufacture of sugar as well as obtaining from outside sources. Ethanol is being currently
used as additive to petrol and diesel.
The bi-products generated during crushing of sugarcane and manufacture of sugar are:
Bagasse: is used as a fuel in a co-generation plant. It is also used as a raw material in the
manufacturing of paper.
Molasses: Industrial alcohol and down stream chemicals can be produced from molasses.
Industrial alcohol is a vital raw material for a number of chemicals and it also has great
potential as fuel.
Press Mud: As this contains cane was, it is used as recovery for commercial use. Press
mud is used as manure.
1. Sugar 10.40% to 10.65%
2. Bagasse 30%
3. Molasses 4.50%
4. Press Mud / Press cake 3%
Table 10.1. Recovery rate of various product
10.4. Production Process
Sugar: The technological process adopted by the company involves production of white
crystal sugar by double sulphitation process. Sugar is produced in modem vacuum pan
factories and the method of manufacture comprises five operations.
Extraction of juice
Clarification of juice
Evaporation
Crystallization
Centrifugation
Marketing
Sugar is sold in the market through the following three channels
Own marketing and sale efforts
Marketing channels
45
Through exports
Own Marketing and Sale Efforts: includes sales to multinational companies through
orders.
Marketing Channels: Free sugar will be sold through Government appointed dealers.
Dealers require license to handle this product. Factory enlist such dealers in different
business areas and sell the sugar or fix up quota to this dealer depending upon the order by
the Government and allow them to sell it to actual users and to retail shops.
Through Exports: India is a major producer and consumer of sugar in the world. The
sugar policy has so far been directed towards achieving self-sufficiency in production to
meet the consumption requirements. With three successive years of bumper production,
Government has decided to open export market with certain attractive concessions to the
sugar manufacturing units.
Sales analysis for the year 2005-06 is presented representing percentage distribution of
market segment
Direct Sales 3.95
Through Network 10.48
Sale to Government (levy sugar) 0.60
Export 0.79
Table 10.2. Sales Analysis (2005-06)
GSIL Customer Profile
Pepsi
Coca-cola
Nestle
SmithKline Beecham
Hindustan Liver Limited
Indian Tobacco Company Limited
Haldiram
Many other major customers
46
Category No. of Persons
Management positions 10
Administration 86
Workmen 434
Total 530
Table 10.3. The Total Manpower Strength of the Company - Cadre wise
10.5.HR Policies
10.5.1. Recruitment Process - Rules followed
All sugar factories are governed by the rule of All India Sugar Board. All the
employees up to supervisory A grade which come under this are Unskilled labor, Semi-
skilled labor, Skilled labor, Highly skilled labor, operators, supervisory staff.
All the post above this is not governed by rules and regulations and all the other
staff comes under Factories Act, 1948, Workers compensation Act etc.
The structure of wage board is specific with fixation of salary grades, yearly
increments, and other benefits like medical allowance, washing allowance, eligibility of
leave, gratuity, provident fund and insurance linked retirement benefits. The retirement age
of personnel is 60 years and no fixed pension scheme is now available in sugar industry.
Career progression depends upon merit, experience attained, availability of higher
post and personal capacity.
Unskilled and up to supervisory A are recruited by a committee constituted by
company's general manager or personnel manager and as per qualification, physical health
etc as required by the specific post. Chief executive or other officer will issue appointment
order and appointing authority can only take disciplinary action if required. Only
recruitment is for new units and generally there would not be any recruitment once the
specific factory stabilizes. Vacancy arises out of retirement, absconding, etc and will be
filled by generally promoting eligible candidates to the higher post to lowest post
47
recruitment could be carried out.
Preference will be given to local candidates in the order of same district, nearby
district and state. Outside candidates are generally avoided.
10.5.2. Managerial cadre recruitment
In this category highly competent, efficient and qualified personnel are required.
The recruitment is carried out by all India basis and first preference is given to the
candidate from the same state.
Advertisement will be released in newspapers (vernacular and other languages)
with specific qualification, experience age etc. giving enough time for applying. After
receipt of application by personnel manager or general manager, as the case may be, it will
be scrutinized for their competency and short-listed. This is to avoid ineligible candidates
and to get only competent persons. Once the segregation work is over, list will be put up to
chief executive and after his approval individual interview calls will be sent to the
candidates specifically asking them to attend the interview on a particular date.
A committee consisting of highly competent persons from the officers like chief
engineers, general manager personnel, chief process controller, finance manager and
outside experts are present depending on the requirement of the post. Written exam will be
conducted if need be otherwise only oral interview will be conducted. Additional
weightage will be given to extra experience, merits, awards etc. and most suitable
competent person will be selected.
This category of employees start from assistant manager, deputy manager,
manager, senior manager, vice-presidents, presidents etc, For them there will be a fixed
grade and will be fixed in that grade as per their merit. Along with basic salary, dearness
allowance and other allowances etc they will also be paid one month salary as medical
benefit over and above they are eligible for thirty day earned leave, fifteen day sick leave
and twelve days casual leave in a year. This facility is extended not only to higher grades
but applicable from unskilled category onwards.
As hitherto applied in these categories also generally capable persons are
promoted to higher posts as and when fresh vacancies are available. Similarly if no
48
opportunities are present then employees are given higher grades with better incentives to
hold them in the company and to avoid frustration in their work.
Wage board employees are also given the benefit of dress(uniform), washing
allowance, children's educational allowance and family planning incentives etc to
encourage them and to keep them in good spirits.
On the job training is provided to all the low grade employees to make them
competent in specified jobs.
49
CHAPTER IX
ANALYSIS
AND
INTERPRETATION
11. ANALYSIS AND INTERPRETATION
50
ADEQUATE AND FAIR COMPENSATION
S. No. Measurement % of Respondents
1. Highly Satisfied 15
2. Satisfied 70
3. Neither satisfied
Nor dissatisfied 5
4. Dissatisfied 10
5. Highly Dissatisfied 0
Total 100%
Table 11.1. Adequate and Fair Compensation
ADEQUATE AND FAIR COMPENSATION
Fig. 11.1. Adequate and Fair Compensation
As 70% of the respondents have replied as satisfied with their salary it shows that
there is fair job evaluation present in the organization and it has ability to pay well.
Adequate compensation helps in maintaining a socially desirable standard of life. Only a
small percent of employees' feel that they are not paid accordingly for their services
rendered to the organization. There is also always difference of opinion from person to
person, which may cause this aberration.
FRINGE BENEFITS
51
S. No. Measurement % of Respondents
1. Highly Satisfied 10
2. Satisfied 65
3. Neither satisfied
Nor dissatisfied 15
4. Dissatisfied, 10
5. Highly Dissatisfied 0
Total 100%
Table 11.2. Fringe Benefits
Fig. 11.2. Fringe Benefits
These are the various benefits at the fringe of the wage, management provides
these benefits to motivate the employees and to meet their lives contingencies. In this study
about 65% of employees have responded to be satisfied with the fringe benefits provided
by the organization. Some have not responded positively, as they have not yet perceived
any real benefit in the organization.
RECOGNITION
52
S. No. Measurement % of Respondents
1. Congratulating 50
2. Monetary Rewards 35
3. Non-monetary Rewards 10
4. Others 5
Total 100%
Table 11.3. Recognition
Fig. 11.3. Recognition
Recognizing the employees for their contribution towards the organization
increases the QWL of the employees. Awarding the rewarding systems, congratulating the
employees for their achievements, and providing non-monetary rewards such as job
enrichment, providing well furnished and decent workplaces, providing vehicles, offering
vacation trips etc. 50% of respondents say that congratulating is the way of recognition for
their contribution. 35% of them feel they are provided with monetary rewards. Only 10%
of them feel that non-monetary rewards are present in the organization.
OCCUPATIONAL STRESS
53
S. No. Measurement % of Respondents
1. High Stress 50
2. Moderate Stress 35
3. Low Stress 0
4. No stress 15
Total 100%
Table 11.4. Occupational Stress
Fig. 11.4. Occupational Stress
Stress is a condition of strain on ones emotions, thought process and physical
condition. Stress is determined by the nature of work, working conditions, working hours,
pause in the work schedules, nature and match with the job requirements. 50% of
respondents feel the high stress involved in their job, 35% of them say that their job
involves moderate stress and the rest feet no stress performing their job.
CAREER GROWTH
S. No. Measurement % of Respondents54
1. Promotions 60
2. Job Enlargement 15
3. Job Enrichment 5
4. Career counseling 10
5 Training 10
Total 100%
Table 11.5. Career Growth
Fig. 11.5. Career Growth
Here the focus is on career opportunities as against the job. How much and what
kind of opportunities are available to develop new and expand existing abilities to avoid
obsolescence? Opportunities for promotions are limited in case of all categories of
employees either due to educational barriers or due to limited openings at the higher level.
For employees surveyed, the most common career growth opportunity is in the form of
promotions. Only 15% have said job enlargement and for career counseling & training
10% each have said as their career growth opportunity.
INFORMAL GROUPS
55
S. No. Measurement % of Respondents
1. No Restrictions 50
2. Few Restrictions 15
3. High Restrictions 35
Total 100%
Table 11.6. Informal Groups
Fig. 11.6. Informal Groups
Informal groups depict the picture of social integration in an organization. The
freedom to form informal groups within and outside the workplace is found to be
detrimental to the quality of work life. Here we have found half of the employees find no
restrictions to form informal groups. About 15% said they feel few restrictions in forming
informal groups. Also 35% of them said to have high restrictions to form informal groups.
56
PARTICIPATIVE MANAGEMENT
S.No. Measurement % of Respondents
1. Always Taken & Implemented 50
2.Taken and implemented some
times45
3. Taken but not implemented 5
4. No Opinions taken 0
Total 100%
Table 11.7. Participative Management
Fig. 11.7. Participative Management
Employees' participation in management and decision_ making improves QWL.
Employees also feel that they control their work, use their skills and make a real
contribution to the job if they are allowed to participate in creative and decision-making
process. In this survey 50% of the employees say that their views and opinions are taken
and implemented, 45% of them feel their participation in management is present but not
always.
57
WORKING SCHEDULES
S. No. Measurement % of Respondents
1. Highly Satisfied 10
2. Satisfied 75
3. Neither satisfied nor dissatisfied 15
4. Dissatisfied 0
5. Highly Dissatisfied 0
Total 100%
Table 11.8. Working Schedule
Fig. 11.8. Working Schedule
Working hours and flexibility in working schedules is also determinant to the
Quality of Work Life. Occupational stress, strain and fatigue are directly related to the
working hours and flexibility in work schedules of the employees. Only 10% of
respondents have responded to be highly satisfied with the work hours and 75% of them
are satisfied. None of them have responded as dissatisfied with their working hours.
58
EMPLOYEE - SUPERIOR RELATIONS
S. No. Measurement % of Respondents
1. Congenial Relation 60
2. Fair Relations 35
3. Poor Relations 5
Total 100%
Table 11.9. Employee – Superior Relations
Fig. 11.9. Employee – Superior Relations
Harmonious employee-superior relation gives the employee a sense of social
association, belonging ness, achievement of work result etc. This in turn leads to better
QWL. Here 60% of the employees say they have good congenial relations with their
superiors and 35% of them have fair relations. Only 5% do not have good relation with
their superiors.
59
DISCRETION IN WORK
S. No. Measurement % of Respondents
1. Complete discretion 25
2. Moderate Discretion 50
3. Minimum Discretion 25
4. No Discretion 0
Total 100%
Table 11.10. Discretion in Work
Fig. 11.10. Discretion in Work
QWL can be improved if the job allows sufficient autonomy and control, use a
wide range of skills and abilities, provides immediate feedback to employees to take
corrective action, is seen as a total activity, and provides opportunity to plan and
implement by himself. Only a quarter of the respondents feel they have complete discretion
over their work and half of them feel to have moderate discretion in their job, other quarter
of them say they have minimal discretionary powers.
60
CONSTITUTIONALISM
S. No. Measurement % of Respondents
1. Strictly adhered to rules 60
2. Follow as much as possible 30
3. Many lapses 10
4. Minimum adherence 0
Total 100%
Table 11.11. Constitutionalism
Fig. 11.11. Constitutionalism
Enhanced QWL should also ensure zero violation of the constitutional guarantee
by executive organizational decision. Such guarantees a fight to personal privacy, free
speech equitable treatment and governance by the "Rule of law" are necessary to uphold to
improve QWL. 60% of them say that all rules are strictly adhered to in the organization
and 30% of them feel there may be a few concessions as 10% say constitutionalism is
prevalent to a limited extent.
61
SOCIAL RELEVANCE
S. No. Measurement % of Respondents
1. High Relevance 25
2. Average Relevance 70
3. Low Relevance 0
4. Very low Relevance 5
Total 100%
Table 11.12. Social Relevance
Fig. 11.12. Social Relevance
QWL is concerned about the establishment of social relevance to work in a
socially beneficial manner. The workers self esteem would be high if his work is useful to
the society. The organizations' lack of concern for social causes make employees
depreciate the value of their work and career which in turn effects their self-esteem. 25%
of employees seem to attribute high social relevance to their work and 70% of them
attribute average social relevance.
62
WORK AND TOTAL LIFE SPACE
SOCIAL RELEVANCE
S. No. Measurement % of Respondents
1. Very pleasant 55
2. Reasonably O.K. 45
3. Unpleasant 0
4. Very unpleasant 0
Total 100%
Table 11.13 Social Relevance in Work and Total Life Space
Fig. 11.13 Social Relevance in Work and Total Life Space
Family life and social life should not be strained by working hours including
overtime work, work during inconvenient hours, business travel, transfers, vacation etc.
Employee's perception of their work life is detrimental to QWL in an organization. Here
55% of the employees said their work life is very pleasant and the remaining is reasonably
satisfied. No one responded that his or her work life is unpleasant.
63
How do they feel when they start from home?
SOCIAL RELEVANCE
S. No. Measurement % of Respondents
1. Enthusiastic 60
2. Eager 35
3. Anticipative 5
4. Hesitant 0
Total 100%
Table 11.14. Social Relevance
Fig. 11.14. Social Relevance
Attitude of the employees towards work determines their productivity and
performance in the organization. How they feel performing their day to day chores is
important to determine their QWL. 60% of the employees said that they are very much
enthusiastic about their work daily. 35% of them said they are eager to reach their work
place daily and 5% of them are anticipative of their work. None of them are hesitant to
reach their work place.
64
Do they take pride in showing the work place to their family?
SOCIAL RELEVANCE
S. No. Measurement % of Respondents
1. Yes 75
2. Indifferent 10
3. Hesitant 10
4. Not at all 5
Total 100%
Table 11.15. Social Relevance
Fig. 11.15. Social Relevance
When asked the question that whether they would like to bring their family to
their work place then 75% of the employees said that they take pride in showing their work
place to their families. 10% of the employees said that they are indifferent to whether their
family visit their work place or not and another 10% of them were hesitant to show their
work place to their family.
65
ADEQUATE AND FAIR COMPENSATION
S. No. Measurement % of Respondents
1. Highly satisfied 8
2. Satisfied 52
3. Neither satisfied nor dissatisfied 24
4. Dissatisfied 11
5. Highly Dissatisfied 5
Total 100%
Table 11.16. Adequate and Fair Compensation
Fig. 11.16. Adequate and Fair Compensation
If there is adequate and fair compensation it shows that there is fair
job evaluation present in the organization and it has ability to pay well.
Adequate compensation helps in maintaining a socially desirable standard of
life. The general feeling is that of satisfactory compensation. Only a small
percent of employees' feel that they are not paid accordingly for their services
rendered to the organization. There is also always difference of opinion from
person to person, which may cause this aberration. Also there has been a
66
general tendency observed in humans so as to not being satisfied with what
they have and they crave for more.
FRINGE BENEFITS
S. No. Measurement % of Respondents
1. Highly Satisfied 11
2. Satisfied 50
3. Neither satisfied
Nor dissatisfied 23
4. Dissatisfied 11
5. Highly Dissatisfied 5
Total 100%
Table 11.17. Fringe Benefits
Fig. 11.17. Fringe Benefits
These are the various benefits at the fringe of the wage, management provides
these benefits to motivate the employees and to meet their lives contingencies. In this study
about 11 % of employees have responded to be highly satisfied and 50% of them are
satisfied with the fringe benefits provided by the organization. 23% of them are indifferent
67
to the fringe benefits provided. Some have not responded positively, as they have not yet
perceived any real benefit in the organization.
WORK SCHEDULE
S. No. Measurement % of Respondents
1. Highly Flexible 20
2. Flexible 44
3. Less Rigid 32
4. Very Rigid 4
Total 100%
Table 11.18. Work Schedule
Fig. 11.18. Work Schedule
Working hours and flexibility in working schedules is also determinant to the
Quality of Work Life. Occupational stress, strain and fatigue are directly related to the
working hours and flexibility in work schedules of the workers. Only 20% of respondents
have said to have highly flexible work schedules and 44% of them agree that they are
flexible. For 32% of the workers, the work schedules seem to be a bit rigid and for the rest
it's very rigid.
68
Informal groups depicts the scenario of social integration in the organization
OCCUPATIONAL STRESS
S. No. Measurement % of Respondents
1. Highly Stress 11
2. Moderate Stress 41
3. Low Stress 28
4. No Stress 20
Total 100%
Table 11.19. Occupational Stres
Fig. 11.19. Occupational Stres
Stress is a condition of strain on ones emotions, thought process and physical
condition. Stress is determined by the nature of work, working conditions, working hours,
pause in the work schedules, nature and match with the job requirements. Stress adversely
effects worker's productivity. More than half of the of workers in this study feel the high or
moderate stress involved in their work, 28% of them say that their job involves low stress
69
and the rest feel no stress involving their work.
PROMOTION OPPORTUNITIES
S. No. Measurement % of Respondents
1. Seniority 60
2. Merit 26
3. Job Rotation 11
4. Others 3
Total 100%
Table 11.20 Promotion Opportunities
Fig. 11.20 Promotion Opportunities
Seniority is generally taken as the basis for promotion in case of operating
employees. Merit is considered as the basis for advancement for managerial people
whereas seniority cum-merit is preferred for promotion of ministerial employees. The
promotional policies and activities should be fair and just in order to ensure higher QWL.
About 60% of the workers have the opinion that promotion opportunities are seniority
based and a quarter of them think they are linked to merit.
70
INFORMAL GROUPS
S. No. Measurement % of Respondents
1. No Restrictions 68
2. Few Restrictions 30
3. High Restrictions 2
Total 100%
Table 11.21. Informal Groups
Fig. 11.21. Informal Groups
Informal groups depict the picture of social integration in an organization. The
freedom to form informal groups within and outside the workplace is found to be
detrimental to the quality of work life. Here we have found most of the workers find no
restrictions to form informal groups. About 30% said they feel few restrictions in forming
informal groups.
71
VENTILATION
S. No. Measurement % of Respondents
1. Highly ventilated 44
2. Good Ventilation 30
3. Minimum Ventilation 26
4. No Ventilation 0
Total 100%
Table 11.22. Ventilation
Fig. 11.22. Ventilation
Ventilation is Important for good working conditions in all sugar industries. If
proper ventilation is not provided for, the work life deteriorates as well as productivity.
44% of the employees feel their work place is highly ventilated. 30% say they have good
ventilation, as 26% are not satisfied with the ventilation at their work place. Thus we may
infer that not all parts of the factory are properly ventilated and some workers have to work
in ill-ventilated areas.72
CANTEEN FACILITIES
S. No. Measurement % of Respondents
1. Very Hygienic 20
2. Acceptably Hygienic 71
3. Unhygienic 9
4. Very Unhygienic 0
Total 100%
Table 11.23. Canteen Facilities
Fig. 11.23. Canteen Facilities
Workers look forward to having good canteen facilities at their work place. As
canteen facilities are considered to be one of the recreational facilities, it is also an
important factor of QWL. 20% of them are satisfied and say their canteen is very hygienic.
Most of the others, barring a few, say they get acceptably hygienic food in their canteen.
73
EMPLOYEE–SUPERIOR RELATIONS
S. No. Measurement % of Respondents
1. Congenial Relation 54
2. Fair Relations 46
3. Poor Relations 0
Total 100%
Table 11.24. Employee-Superior Relations
Fig. 11.24. Employee-Superior Relations
Harmonious employee-superior relation gives the employee a sense of social
association, belongingness, achievement of work result etc. This in turn leads to better
QWL. Here 54% of the employees say they have good congenial relations with their
superiors and 46% of them have fair relations. None of the workers said they have poor
relations with their superiors.
74
CONSTITUTIONALISM
S. No. Measurement % of Respondents
1. Strictly adhered to rules 33
2. Follow as much as
Possible 56
3. Many lapses 6
4. Minimum adherence 5
Total 100%
Table 11.25. Constitutionalism
Fig. 11.25. Constitutionalism
Enhanced QWL should also ensure zero violation of the constitutional guarantee
by executive organizational decision. Such guarantees a right to personal privacy, free
speech, equitable treatment and governance by the "Rule of law" are necessary to uphold to
improve QWL. 33% of them say that all rules are strictly adhered to in the organization
and 56% of them feel there may be a few concessions as 11 % say constitutionalism is
prevalent to a limited extent.
75
GRIEVANCE PROCEDURES
S. No. Measurement % of Respondents
1. Structured 72
2. Unstructured 19
3. Highly Unstructured 3
4. No such procedure 6
Total 100%
Table 11.26. Grievance Procedures
Fig. 11.26. Grievance Procedures
Workers have a sense of fair treatment when the company gives them the
opportunity to ventilate their grievance and represent their case succinctly rather than
settling the problems arbitrarily. According to 72% of the workers there exists a structured
grievance handling system in the organization. Thus we can infer that most of the workers
are well aware of the present system in the organization.
76
SOCIAL RELEVANCE
S. No. Measurement % of Respondents
1. High Relevance 44
2. Average Relevance 52
3. Low Relevance 4
4. Very Low Relevance 0
Total 100%
Table 11.27. Social Relevance
Fig. 11.27. Social Relevance
QWL is concerned about the establishment of social relevance to work in a
socially beneficial manner. The workers self esteem would be high if his work is useful to
the society. The organizations' lack of concern for social causes make employees
depreciate the value of their work and career which in turn effects their self-esteem. 44%
of workers seem to attribute high social relevance to their work and 52% of them attribute
average social relevance.
77
WORK AND TOTAL LIFE SPACE
WORK LIFE
S. No. Measurement % of Respondents
1. Very Pleasant 40
2. Reasonably O.K. 52
3. Unpleasant 5
4. Very Unpleasant 3
Total 100%
Table 11.28. Work and Total Life Space
Fig. 11.28. Work and Total Life Space
Family life and social life should not be strained by working hours including
overtime work, work during inconvenient hours, business travel, transfers, vacation etc.
Employee's perception of their work life is detrimental to QWL in an organization. QWL
provides for the balanced relationship among work, non-work and family aspects of life.
Here 40% of the workers said their work life is very pleasant and 52% are reasonably
satisfied. Only 5% and 3% responded that their work life is unpleasant and very
unpleasant.78
CHAPTER X
FINDINGS AND SUGGESTIONS
79
12. FINDINGS OF THE STUDY
After analyzing the data collected from the employees of Ganpati Sugar Industries Limited
the following conclusions were drawn.
There is fair job evaluation system present in the organization and it has ability to
pay well as most of the employees of the organization (both blue and white collar
workers) are satisfied with their salary. But a small percent of employees' feel that
they are not paid accordingly for their services rendered to the organization.
It is also found that the management is able to motivate the employees by providing
them various fringe benefits and most of the employees are satisfied with fringe
benefits provided by the management. But some employees have not responded
positively, as they have not yet perceived any real benefit out of the fringe benefits.
Proper recognition for the contribution of employees is present in the organization
and this was taking place to a large extent by non-monetary means though monetary
rewards are also available.
The employees of GSIL are highly satisfied with the physical working conditions
and recreational facilities as well as good canteen available in the organization.
A high percentage of employees in the organization feel that stress is involved in
their job and the range of stress is moderate to high.
Most common career growth opportunity in the organization is in the form of
promotions, though job enlargement and career counseling & training are also
available.
Employees in the organization are happy with the liberty given in the organization
while forming informal groups. But a very small portion of employees' still feel that
freedom given in forming informal groups is not sufficient.
In GSIL employees views and opinions are taken and implemented. But a
considerable percentage of employees feel that their participation in management is
present but not always.
80
Some employees are highly satisfied and most others are satisfied with their work
schedules but nobody in administrative staff is dissatisfied with the work schedules.
But a considerable percentage of blue-collar workers are feeling that the working
hours are rigid.
It was found that most of the employees feel that they have congenial relations with
their superiors but a very small percentage of employees feel that they don't have
good relations with their superiors.
Most of the employees feel they have discretion over their work, which ranges from
complete discretion to moderate. But a considerable percentage of employees feel
that they have minimal discretionary powers.
Most of the employees of GSIL are satisfied with the constitutionalism prevailing in
the organization. But a small percentage of employees are dissatisfied and most of
them belong to operational level.
Large percentage of employees is satisfied with the structured grievance procedure
that is being implemented in the organization.
Though most of the employees seem to attribute high social relevance to their work
but a considerable number of them attribute average social relevance.
From the data analysis it was found that a large percentage of employees said that
their work life is very pleasant and the remaining said they are reasonably satisfied.
But a very small portion of blue-collar workers feels that their work life is not
pleasant.
Most of GSIL employees take pride in showing their work place to their families,
though a very small portion never wants to show their work place to their families.
81
13. SUGGESTIONS
With respect to the findings and conclusions drawn from the study the following
suggestions were made for the organization.
As a small percent of employees' are not satisfied with the wages it is suggested for
the organization to take care of these employees as this dissatisfaction level may
become contagious.
Though various fringe benefits are available in the organization some employees
still feel that they have not yet perceived any real benefit in the organization. Due
care is need for this, as this may lead to job dissatisfaction.
With regard to reward system it is suggested for the organization to increase the
frequency of monetary rewards at least for blue-collar workers in order to increase
employee morale.
As the employees of GSIL are highly satisfied with the physical working conditions
available in the organization, it is suggested to the management to continue with the
present working conditions and try to increase the recreational facilities like sports
meet, picnics, get together, cultural meets etc.,
Most employees from that hygienic food is provided in the canteen and also the
condition can be further improved by taking suggestions from those employees who
are dissatisfied with it.
In order to reduce the occupational stress of the employees, management should
provide them with the Stress-buster programs along with the above mentioned
recreational facilities. It should also plan to increase the frequency of rest periods,
which currently does not last for more than 5 to 10 minutes.
The company can increase the career counseling and training programmes, which
will cause less financial burden on the company when compared to continuous
promotions.
As employees in the organization are happy with the liberty available in the
82
organization while forming informal groups, the Management can utilize these
groups for mutual benefit of company and individual employees. And it was also
suggested that the Management should encourage the employees in framing Quality
Circles.
It was suggest for the Management to maintain the current participation of workers
in decision making process and they can increase the participation level with the help
of Quality Circles.
The Management shall try to reduce that dissatisfaction level of workers with regard
to work schedules by increasing the frequency of rest breaks especially for those
workers who work in night shifts.
As it was found that congenial relations between superiors and subordinated are
prevailing in the organization, it was suggested for the Management to help both the
supervisors and the workers to maintain congenial relationships by nominal
intervention when need arises.
It may not be possible for the Management to provide complete discretionary
powers to all categories of employees in their jobs but it was suggested them to take
measures which will reduce the dissatisfaction arises in a small portion of employees.
It was suggested to the Management to utilize proper communication channels so
that employees may aware of the constitutionalism prevailing in the organization as a
small portion of operational level employees feel constitutionalism is not prevailing
in the company.
The Company may continue to maintain the current structured grievance procedure,
as most of the workers are highly satisfied with the procedure.
It is suggested to the Management to try to motivate the employees so that their job
satisfaction level increases and they can attribute high social relevance to their work.
83
CHAPTER XI
ANNEXURE
84
I. PROPOSAL
Name of the Learner : Maradana Lakshmi Phani Prasanna
Registration No : 200762668
Program Name : Post Graduate Diploma In Business Administration
(HumanResource Management)
Address : Falt No 108, SMR Instyle,
Near Dubai Gate,
Hasmadpet,
Bowenpally,
Secunderabad-500011
Title of the Project : QUALITY OF WORK LIFE
85
OBJECTIVES OF THE STUDY
Quality of work life and quality of life are correlated. Some factors such as
intrinsic motivation, control, job involvement and job attractiveness are factors that
potentially influence both QWL and quality of life.
The primary objective of the present study is to study the three basic motivational
factors (which together build a qualitative work life for the employees)
Employee job satisfaction
Employee job involvement
Employee Participation, with regard to the employees of Ganpati Sugar Industry
Limited with the following specific objectives.
Specific Objectives
With the help of different questionnaires (Closed end) for both blue-collar and
white-collar workers of GSIL, the present study tried to achieve the following specific
objectives.
The availability and satisfaction level of employees with regard to the following
issues of the company, so that the primary objective of the study can be achieved.
Adequate and fair compensation
Safe and healthy working conditions
Opportunity to use and develop human capacities
Opportunity for continued growth and security
Social integration in work environment
Constitutionalism or the 'rule of law' in the work organization
Work span in the total life space
The social relevance of work life
86
NEED FOR THE STUDY
Mankind is related with one self, with others, with the society, and with the world.
This relatedness provides us the basic stimuli and motivations to live, perform and achieve
at home and work.
It's a fact that quality of work life and quality of life are interdependent. The
degree to which employees are able to satisfy their personal needs with the experience they
gain in professional life acts as a motivational factor for employees. The increased ferment
of union activities in the 30s and 40s, through collective bargaining and legislations, led to
improved working conditions. Even before that, labour was vigorously protesting when
ever management attempts to change the work environment.
There are generally two types of workers-some accept the life as they find it, i.e.
a job, which provides a living, is enough. But for some others, 'taking home a pay is
not all'-they want a chance for self-fulfillment in workplace. Thus most of the employees
in the organizations want this activity to be conducted, though a few reject the idea and do
show alienation.
Today's aspirations for an improved work life, however, go well beyond
continuing efforts to improve benefits and working conditions. Minority groups have
fought for equal opportunities. Many companies are responding with thoughtful plans and
tangible actions.
Conclusion
There is a positive correlation between quality of work life and quality of life.
Some factors such as intrinsic motivation, control job involvement job attractiveness are
factors that potentially influence both QWL and quality of life.
Private sector companies, if they want to elevate the level of performance, should
take enough initiatives to improve QWL. Accurate and consistent scales should be
developed to measure the above factors and regular monitoring needs to be done. The
present study is meant to detect the various activities Ganpati Sugar Industries Limited
currently adopting in order to improve the QWL of employees, so that corrective measures
can be taken if any bottlenecks are found in the study.
87
METHODOLOGY AND PROCEDURE OF WORK
Type of Study
Based on the type of information required, research is divided into following categories:
Exploratory study
Descriptive study
Causal study
Data Needs
3. Information on the workers and on all Departments as Finance, Engineering,
Manufacturing, Cane, Personnel, Commercial and Stores.
4. Information from the Human Resources about the employees.
Source of data
There are two types of sources of data required for this study.
Primary Data: Data collected by means of questionnaires administered to workers and
employees of GSIL.
Secondary Data: Secondary data was obtained from various documents like business plan
etc., provided by the management of GSIL.
Sample Plan
Population Specification: The population for the survey is divided into two groups:
Total No. of Shop-floor workers - 434 Total Administrative staff- 86
Sample Profile: Random sample taken for our study was general sample of workers who
were middle aged, highly experienced and working for a long time in the company.
Method of Sampling: The method of sampling chosen for this study is non-probability-
Convenience sampling which was arbitrarily chosen to be 100 in number out of the total
population of 510.
88
Size of the Sample: The sample size for this study is 100. This sample contains 80
workers and 20 people from administrative staff.
Method of Analysis
Method of analysis for this study is simple statistical analysis.
Limitations of the study
The study was restricted to only about 100 employees.
Only two shifts of workers were considered due to lack of time.
Respondents being influenced by responses of other respondents.
Limited ability to comprehend questions by workers.
There may have been little apprehension in giving information due to fear of higher
authorities.
DETAILED INFORMATION OF GUIDE
Name of Guide : Mr. P.M.Nair
Address : Kulabagoor/Fasalwadi Village,
Sangareddy Mandal,
Medak Dist. - 502294
Qualification : MBA (HR)
Designation : Director (O&P)
Special Field of Work :
Experience : 20 Years
89
II. QWL Questionnaire(For White Collar Employees)
Name: Date:
Designation: Dept:
1) Are you satisfied with your compensation?
a) Highly Satisfied b) Satisfied c) Partly satisfied d) Not satisfied
2) How satisfied are you with the fringe benefits offered?
a) Highly Satisfied b) Satisfied c) Partly satisfied d) Not satisfied
3) Achievement in employment is recognized through
a) Congratulating b) Monetary Rewards c) Non-monetary Rewards d) Others (...............................................)
4) How do you rate occupational stress involved in your work?
a) High Stress b) Moderate Stress c) Low Stress d) No Stress
5) What are the opportunities provided by organization for your career growth?
a) Promotions b) Job Enlargement c) Job Enrichment d) Career Counseling e) Training f) Others
6) How free are you to form informal groups?
a) No restrictions b) Few restrictions c) High restrictions
7) To what extent your opinions are taken in framing policies affecting you?
a) Always taken and Implemented b) Taken and Implemented sometimes c) Taken but not implemented d) No opinions taken
8) Are you satisfied with the working hours?
a) Highly Satisfied b) Satisfied c) Partly satisfied d) Not satisfied
90
9) How are your relations with your superiors?
a) Congenial Relations b) Fair Relations c) Poor Relations
10) Amount of discretion allowed in your work
a) Complete Discretion b) Moderate Discretion c) Minimum Discretion d) No Discretion
11) Do you enjoy freedom of speech at work place?
a) Fully enjoying b) Partly enjoyed c) No freedom of speech
12) To what extent your work has got social relevance?
a) High b ) Average c) Low d) Very Low
13) How do you describe your work life?
a) Very Pleasant b) Reasonably O.K c) Unpleasant d) Very Unpleasant
14) How do you feel when you start from your home to your work place?
a) Enthusiastic b) Eager c) Anticipative d) hesitant
15) Do you take pride in showing your work place to your family?
a) Yes b) Indifferent c) Hesitant d) Not at all
Thanks for Your Co-operation
91
III. QWL Questionnaire(For Blue Collar Employees)
Name: Date:
Designation: Dept:
1) Are you satisfied with your compensation?
a) Highly Satisfied b) Satisfied c) Partly satisfied d) Not satisfied
2) How satisfied are you with the fringe benefits offered?
a) Highly Satisfied b) Satisfied c) Partly satisfied d) Not satisfied
3) Are you satisfied with your working conditions?
a) Highly Satisfied b) Satisfied c) Partly satisfied d) Not satisfied
4) How flexible are the work schedules?
a) Highly Flexible b) Flexible c) Less Rigid d) very Rigid
5) How do you rate occupational stress involved in your work?
a) High Stress b) Moderate Stress c) Low Stress d) No Stress
6) Promotion opportunities are provided based upon
a) Seniority b) Merit c) Job Rotation d) Others
7) How free are you to form informal groups?
a) No restrictions b) Few restrictions c) High restrictions
8) Safety and Health measures provided by the organization area) Maximum b) Average c) Minimum d) No measures
92
9) Is adequate ventilation provided?
a) Highly Ventilated b) Good Ventilation b) Minimum d) No Ventilation
10) How would you rate your canteen facilities in your organization?
a) Very hygienic b) Acceptably hygienic c) Unhygienic d) Very unhygienic
11) How are your relations with your superiors?
a) Congenial Relations b) Fair Relations c) Poor Relations
12) To what extent constitutionalism is prevalent in your organization?
a) Strictly adhered to rules b) Follow as much as possible c) Many lapses d) Minimum adherence
13) Is proper grievance procedures prevalent in the organization?
a) Structured procedure b) Unstructuredc) Highly Unstructured d) No such
14) To what extent your work has got social relevance?
a) High b ) Average c) Low d) Very Low
15) How do you describe your work life?
a) Very Pleasant b) Reasonably O.K c) Unpleasant d) Very unpleasant
Thanks for Your Co-operation
93
IV. BIBLIOGRAPHY
The books referred to for various topics concerned with this project are:
. C.B. MAMORIA (Personnel Management)
. SUBBA RAO (Human Resource Management)
. UDAY PAREEK (Training & Development)
. ARUN MONAPA, MIRZA S. SAIYADAIN (Personnel Management)
. MIRZA S. SAIYADAIN (Human Resource Management)
. S.K. CHAKRABORTY (Managerial Effectiveness & QWL)
. Business Plan and other information provided by GSIL.
94
V. LIST OF FIGURES
2.1 Scope of Human Resource Management......................................................................4
3.1 Objectives of HRM.........................................................................................................5
11.1 Adequate & Fair Compensation...............................................................................51
11.2 Fringe Benefits............................................................................................................52
11.3 Recognition..................................................................................................................53
11.4 Occupational Stress....................................................................................................54
11.5 Career Growth............................................................................................................55
11.6 Informal Groups.........................................................................................................56
11.7 Participative Management.........................................................................................57
11.8 Working Schedule......................................................................................................58
11.9 Employee-Superior Relations....................................................................................59
11.10 Discretion in Work...................................................................................................60
11.11 Constitutionalism......................................................................................................61
11.12 Social Relevance.......................................................................................................62
11.13 Social Relevance in Work and Total Life Space....................................................63
11.14 Social Relevance.......................................................................................................64
11.15 Social Relevance.......................................................................................................65
11.16 Adequate and Fair Compensation..........................................................................66
11.17 Fringe Benefits..........................................................................................................67
11.18 Work Schedule..........................................................................................................68
11.19 Occupational Stress..................................................................................................69
11.20 Promotion Opportunities.........................................................................................70
11.21 Informal Groups.......................................................................................................71
11.22 Ventilation.................................................................................................................72
11.23 Canteen Facilities.....................................................................................................73
11.24 Employee-Superior Relations..................................................................................74
11.25 Constitutionalism......................................................................................................75
11.26 Grievance Procedure................................................................................................76
11.27 Social Relevance.......................................................................................................77
11.28 Work & Total Life Space.........................................................................................78
95
VI. LIST OF TABLES
3.1 HRM Objectives and Functions....................................................................................6
4.1 HR Activities and their Effects on QWL....................................................................13
8.1 Sugar Production in India...........................................................................................29
8.2 Number of Sugar Factories in Operation in India and Average Capacity.............32
8.3 Number of Sugar Units in Operation.........................................................................33
8.4 State Wise Sugar Production.......................................................................................34
10.1 Recovery Rate of Various Products..........................................................................45
10.2 Sales Analysis..............................................................................................................46
10.3 The Total Manpower Strength of the Company -Cader wise................................47
11.1 Adequate & Fair Compensation...............................................................................51
11.2 Fringe Benefits............................................................................................................52
11.3 Recognition..................................................................................................................53
11.4 Occupational Stress....................................................................................................54
11.5 Career Growth............................................................................................................55
11.6 Informal Groups.........................................................................................................56
11.7 Participative Management.........................................................................................57
11.8 Working Schedule......................................................................................................58
11.9 Employee-Superior Relations....................................................................................59
11.10 Discretion in Work...................................................................................................60
11.11 Constitutionalism......................................................................................................61
11.12 Social Relevance.......................................................................................................62
11.13 Social Relevance in Work and Total Life Space....................................................63
11.14 Social Relevance.......................................................................................................64
11.15 Social Relevance.......................................................................................................65
11.16 Adequate and Fair Compensation..........................................................................66
11.17 Fringe Benefits..........................................................................................................67
11.18 Work Schedule..........................................................................................................68
11.19 Occupational Stress..................................................................................................69
11.20 Promotion Opportunities.........................................................................................70
11.21 Informal Groups.......................................................................................................71
11.22 Ventilation.................................................................................................................72
96
11.23 Canteen Facilities.....................................................................................................73
11.24 Employee-Superior Relations..................................................................................74
11.25 Constitutionalism......................................................................................................75
11.26 Grievance Procedure................................................................................................76
11.27 Social Relevance.......................................................................................................77
11.28 Work & Total Life Space...........................................................................................78
97